Not all states tax equally. In fact, some states impose a tax on the money you withdraw from Social Security.
So, after working hard for decades and having money deducted from your paycheck for Social Security, your savings might be a little less than you hoped.
Luckily, if you’re looking for relief, you can move to Washington, D.C., or one of these 39 states that don’t tax Social Security: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, Nevada, New Hampshire, New Jersey, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, Wisconsin, Wyoming. (Note: Colorado does tax Social Security for recipients under age 65.)
If you’re wondering which states are best for retirees, GOBankingRates looked into which states have the lowest taxes. Here are the top states to move to for those retiring soon based on their taxes.
